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Barclays Tax Haven ISA delays: May08, The official facts!
Jon_Skint_Smith
Posts: 7 Forumite
I had problems last year and again this year. I have not finally got the official line from Barclays re. what they are doing about the delays and the compensation offered for the 08/09 "Haven ISA".
I read numerous users mentioning that they were told that "interest would be back-dated to when the account was opened". This rang a few alarm bells; of course you earn interest from when the account is "OPENED"! This did happen last year (mine took 2 months) but the main difference was that my cheque was CASHED on day one, unlike this year, where they have learnt from their mistakes and are not cashing cheques / drawing funds until the account is opened!!
This year my cash has been sitting idol in my current account earning nowt since 7th April. So, I was determined to establish whether I will be compensated from the DATE OF APPLICATION rather than from the OPENING DATE!
In a nutshell, I managed to frighten the poor lad at the counter to letting me read, (yet not photocopy for evidence!!) THE OFFICIAL FAX MEMO FROM HEAD OFFICE regarding the Haven ISA compensation. In this two page document it "clearly" states (in a long-winded way including worked examples for the mathematically inept) that the opening of an account should take 14 days from receiving the application, hence any delay in excess of this will attract tax free interest at the current rate and as such the account will be deemed open for the sum which was presented on application, whether the cheque / funds had been drawn upon or not. In short, interest will be back-dated less 14 days worth.
To clarify what the actual "date of application received" was, I had it confirmed that this date was the day when the application was signed and handed over to the Barclays staff and not the day it was recovered from the long-term mail store at head office! (I don't know how postal applications will be dealt with)
My question is: why don't Barclays post this information on their site - its called customer service!!!! If anyone on here has got access to this memo, please publish it on the web. To all others, I suggest that you go to your local branch and insist on seeing it. I will try again to get a copy for my records!
Oh, as for the delays and the expected time-frame for sorting out this mess; there was only one date mentioned - any application for 08/09 received before the start of the tax year should be dealt with before May 5th........yeah right!
GOOD LUCK to all!!
I read numerous users mentioning that they were told that "interest would be back-dated to when the account was opened". This rang a few alarm bells; of course you earn interest from when the account is "OPENED"! This did happen last year (mine took 2 months) but the main difference was that my cheque was CASHED on day one, unlike this year, where they have learnt from their mistakes and are not cashing cheques / drawing funds until the account is opened!!
This year my cash has been sitting idol in my current account earning nowt since 7th April. So, I was determined to establish whether I will be compensated from the DATE OF APPLICATION rather than from the OPENING DATE!
In a nutshell, I managed to frighten the poor lad at the counter to letting me read, (yet not photocopy for evidence!!) THE OFFICIAL FAX MEMO FROM HEAD OFFICE regarding the Haven ISA compensation. In this two page document it "clearly" states (in a long-winded way including worked examples for the mathematically inept) that the opening of an account should take 14 days from receiving the application, hence any delay in excess of this will attract tax free interest at the current rate and as such the account will be deemed open for the sum which was presented on application, whether the cheque / funds had been drawn upon or not. In short, interest will be back-dated less 14 days worth.
To clarify what the actual "date of application received" was, I had it confirmed that this date was the day when the application was signed and handed over to the Barclays staff and not the day it was recovered from the long-term mail store at head office! (I don't know how postal applications will be dealt with)
My question is: why don't Barclays post this information on their site - its called customer service!!!! If anyone on here has got access to this memo, please publish it on the web. To all others, I suggest that you go to your local branch and insist on seeing it. I will try again to get a copy for my records!
Oh, as for the delays and the expected time-frame for sorting out this mess; there was only one date mentioned - any application for 08/09 received before the start of the tax year should be dealt with before May 5th........yeah right!
GOOD LUCK to all!!
0
Comments
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Jon_Skint_Smith wrote: »I had problems last year and again this year. l!!
Devil for punishment.:rotfl: Wonder if u will go to Barclays next year for a third time. :rotfl:0 -
bristolleedsfan wrote: »Devil for punishment.:rotfl: Wonder if u will go to Barclays next year for a third time. :rotfl:
Yep, so long as they offer the highest interest, will do!
Of course the cash doesn't stay in one day past the the time when "bonus interest" lapses - just gets transferred out into my other cumulative TESSA/ISA's with my regular bank!0 -
Jon_Skint_Smith wrote: »Yep, so long as they offer the highest interest, will do!
!
As soon as we get another interest rate cut, Tax Haven ISA wont have been the highest cash ISA rate for 2008/09. The 6.25/6.26% fixes will have been for 3600 investments.
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bristolleedsfan wrote: »As soon as we get another interest rate cut, Tax Haven ISA wont have been the highest cash ISA rate for 2008/09. The 6.25/6.26% fixes will have been for 3600 investments.
Yep, I gave Barclays a wide berth this year due to:
1. Complete incompetence on last years application (although I did rather well out of it what with backdated interest and an additional £90.00 compensation).
2. With BOE rates falling their headline grabbing Variable Rate wasn't that exciting.
This year I've gone for B&B 6.25% 12 month Fixed Rate.0 -
Well May 5th was yesterday and I still haven't recieved anything. But I'm not at home at the moment so will bug brother to see if I have post. Going home on Sat so if its not there by then I am going into town
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nathanhill69 wrote: »Yep, I gave Barclays a wide berth this year due to:
1. Complete incompetence on last years application (although I did rather well out of it what with backdated interest )
2. With BOE rates falling their headline grabbing Variable Rate wasn't that exciting.
This year I've gone for B&B 6.25% 12 month Fixed Rate.
:T 1. Snap. :beer: 2. Snap. :beer: B+B 6.25% ISA, Snap again. :beer: :T0 -
'tis strange that otherwise sensible folk get pulled by the nose of "high" rates, despite a history of appalling service. The fact that people continue to open accounts at Abbey shows how bad (good) the marketing has become.0
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Tax Haven ISA is not a high interest ISA. Mine was applied in March, was opened on 24 April and earned 4 pounds interest for April.
Even the rate keeps 6.5% for the next 12 months. The actual annual rate is roughly: (4 + 3600*0.065*11/12)/3600 = 6.07%
Now the rate has been dropped to 6.25%, Then the actual annual rate is roughly: (4+3600*0.0625*11/12)/3600 = 5.84%
Not a bad rate but not high either.0 -
nathanhill69 wrote: »Yep, I gave Barclays a wide berth this year due to:
1. Complete incompetence on last years application (although I did rather well out of it what with backdated interest and an additional £90.00 compensation).
2. With BOE rates falling their headline grabbing Variable Rate wasn't that exciting.
This year I've gone for B&B 6.25% 12 month Fixed Rate.
Lucky you! I wish I had the full £3600, I'd have gone for the fixes - just wish they'd accept transfers in!Tough times never last longer than tough people.0 -
owitemisermusa wrote: »just wish they'd accept transfers in!
Nationwide do @ 6.15% fixed for one or two years with no loss of interest while cheque is in transit and being banked. 0
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